In Turkey, no scrap bookings have been heard since the few transactions observed early last week, while prices have continued to decrease in line with the weak demand.
Ex-US HMS I/II 80:20, which was in the range of $405-410/mt CFR last week, is reported to be standing at about $400/mt CFR this week. In the local US market, scrap prices, which had been following a downward trend for a long time and had decreased again by approximately $50/mt early this month, registered a slight increase last weekend. US scrap suppliers think that ex-US scrap prices may rise from bottom levels if Turkish mills start to purchase, also taking into account the current situation in the US market.
Ex-Europe HMS I/II 80:20 and HMS I/II 70:30 materials are currently offered at the levels of $390-395/mt CFR and $380-385/mt CFR respectively, while no confirmed bookings have been heard at these prices.
After increasing to $405-410/mt CFR early last week from $370/mt CFR two weeks ago, ex-Black Sea A3 scrap prices have again started to decrease as Turkish mills did not accept the new levels. In last week's transactions, ex-Romania A3 was booked by Turkish mills at prices of $365/mt CFR and $370/mt CFR. This week's offers are also heard to be at these levels; however, it is known that the purchase idea of Turkish mills is about $355/mt CFR.
Scrap supply has shown a decline in the local Turkish market. Turkish mills are trying to keep their scrap purchases at minimum levels due to the low demand from international buyers of finished products. However, considering that their production activity continues, when Turkish mills recommence their scrap purchases, scrap prices are likely to emerge from their downward movement and see a recovery.